Wednesday, October 1, 2008

September Recap

September was a monumental month.  Here is what I learned about my trading and myself:

  • Timing...whether the market was crazy (end of month) or slow I was paid well by using my timing principles. When I chased or went outside my timing guidelines my PnL took a hit.  Busy or slow I need to stick to my guns. 


  • Sector trends...I can and do go against trends.  However reviewing my trades I found it beneficial to be more aggressive on short terms trades in the direction of longer trends, and less aggressive short term against the longer trend. For example early and mid September Agriculture names (MOO) were is a huge downtrend.  When I had intra day long set ups I was less aggressive than intraday short set ups. 


  • Profit goals...I seem to get blinded by the one time out of ten that my nice winners turn into monster winners.  I go for the 500 foot homerun every time.  Upon further review my equity would be higher at month's end had I taken 10 of 10 trades off at my initial profit goal, as opposed to holding some or all of my positions for the homerun. 


  • Opinion vs fact: this was touched upon in greater detail in my last post.  I did better when trading the names that were moving as opposed to trading the names I thought should be moving. 


  • This picture is humorous, I'll let you draw your own conclusions: